Hedge fund Chatham Asset Management says can pay $312 million to purchase newspaper writer McClatchy out of chapter safety.
Chatham stated that it plans to supply staff on the 30-newspaper chain their present jobs with the identical pay and advantages, and it’ll honor collective bargaining agreements.
Chairman Kevin McClatchy, CEO Craig Forman and their fellow board administrators will step down when the deal closes by Sept. 30, the chain stated in a press release. The deal would want the approval of a U.S. Bankruptcy Court decide, and a listening to is scheduled for Aug. 4.
McClatchy Co., which is headquartered in Sacramento, California, is without doubt one of the largest newspaper corporations within the U.S. It owns the Miami Herald, the Charlotte Observer and the Sacramento Bee. It filed for chapter safety due to a heavy debt load stemming from its $4.5 billion buy of the Knight-Ridder newspaper chain in 2006, simply because the newspaper trade went into steep decline.
Chatham was McClatchy’s largest shareholder and debt holder. It beat out a bid from Alden Global Capital, one other hedge fund that has taken a number one position within the U.S. newspaper enterprise.
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